Virgin Blue Holdings Ltd (ASX:VBA) says its new Airbus A330 Sydney-Perth service will commence operation on 26 May 2011, subject to regulatory approvals.

The airline revealed in February that the Airbus A330s would be the first aircraft to offer Business Class on the Virgin Blue domestic network, fitted out with stylish new designer Economy and Business cabins developed by Creative Director Hans Hulsbosch.

Virgin Blue Group of Airlines Chief Executive Officer and Managing Director John Borghetti said: "For the first time in almost a decade, travellers will have a choice in Business Class within the Australian domestic market.

With our excellent service, luxury leather seating, 62 inch Business Class seat pitch, multi-channel in-flight entertainment and our range of high quality meals designed by Luke Mangan, Virgin Blue's Airbus A330 service will provide an unparalleled experience in Australian skies."

"We will be offering very competitive fares on the new service, bringing competition back to Business Class travel as well as continuing to provide great value in Economy Class. Today Virgin Blue is launching special Economy Class fares from $139.00* one way booked on the internet between Sydney and Perth and, as an introductory offer for Business Class guests, we will provide complimentary limousine* transfers to and from Sydney Airport for the all inclusive price of $1399.00* one way booked on the internet between Sydney and

Perth.

"We have developed a schedule that provides convenient departure and arrival times for corporate and leisure guests. The service commences from Sydney to Perth on 26 May 2011 with an 8.00am departure from Sydney, followed by a 1.00pm departure from Perth later that day. From July we will operate a three times daily service, providing a total of more than 33,000 seats each week between the east coast and Perth.

"Our Airbus A330 service between Sydney and Perth is just the beginning of the roll out of our new business and Economy Class product to our domestic network. Today's announcement marks another step forward in our Game Change Program, which will see us become the airline of choice in the Australian business and leisure markets," Mr. Borghetti said.

Virgin Blue lost half a cent at 31 cents by 1015 AEST.